- Petitioner
- Makati Stock Exchange
- Respondent
- Miguel V. Campos
- Citation
- G.R. No. 138814
- Court
- Supreme Court
- Division
- Third Division
- Ponente
- Chico-Nazario, J.
- Decided
- April 16, 2009
Summary
Miguel Campos, Chairman Emeritus of Makati Stock Exchange Inc. (MKSE), filed a petition with the SEC seeking nullification of a Board Resolution that stopped his IPO share allocations and claiming P3.5 million in damages. The case progressed through SEC departments to the Supreme Court. The key legal issue was whether Campos had an enforceable right to IPO allocations based on his Chairman Emeritus position. The Supreme Court ruled that Campos' petition failed to state a cause of action because it did not establish the legal basis for his claimed right. While IPO allocation to members was a normal practice, mere practice does not create legally enforceable rights under Civil Code provisions on sources of obligations. The Court emphasized that pleadings must state ultimate facts and legal sources, not mere conclusions of law. This case establishes important precedent on the requirements for stating valid causes of action in corporate and securities disputes.